Chevron to divest Hess Midstream and DJ Basin crude midstream interests
CVX•Chevron will transfer its Hess Midstream interests and DJ Basin assets for $200 million in cash. The deal is expected to close by year-end 2026 and to reduce Bakken unit midstream costs by about 50%.
1. Transaction details
Chevron said revised agreements are expected to reduce Bakken unit midstream costs by about 50%. It will transfer its Hess Midstream interests and DJ Basin assets for $200 million in cash, and expects to deconsolidate Hess Midstream, including $3.70 billion of debt.
2. Expected financial impact
Chevron expects a one-time after-tax loss of $3 billion to $4 billion at closing. The deal is expected to increase return on capital employed by 0.5% and close by year-end 2026.
